Analysis.docx

CHAPTER-1 INTRODUCTION OF THE COMPANY Share khan is one of the leading retail brokerage of City Venture which is running successfully since 1922 in the country. Earlier it was the retail broking arm of the Mumbai-based SSKI Group, which has over eight decades of experience in the stock broking business. Share khan offers its customers a wide range of equity related services including trade execution on BSE, NSE, Derivatives, depository services, online trading, investment advice etc. Earlier with a legacy of more than 80 years in the stock markets, the SSKI group ventured into institutional broking and corporate finance 18 years ago. SSKI is one of the leading players in institutional broking and corporate finance activities. SSKI holds a sizeable portion of the market in each of these segments. SSKI’s institutional broking arm accounts for 7% of the market for Foreign Institutional portfolio investment and 5% of all Domestic Institutional portfolio investment in the country. It has 60 institutional clients spread over India, Far East, UK and US. Foreign Institutional Investors generate about 65% of the organization’s revenue, with a daily turnover of over US$ 2 million. The content-rich and research oriented portal has stood out among its contemporaries because of its steadfast dedication to offering customers best-of-breed technology and superior market information. The objective has been to let customers make informed decisions and to simplify the process of investing in stocks. VISION To be the best retail brokering Brand in the retail business of stock market. MISSION To educate and empower the individual investor to make better investment decisions through quality advice and superior service.

WORK STRUCTURE OF SHAREKHAN Share khan has always believed in investing in technology to build its business. The company has used some of the best-known names in the IT industry, like Sun Microsystems, Oracle, Microsoft, Cambridge Technologies, Nexgenix, Vignette, VeriSign Financial Technologies India Ltd, Spider Software Pvt Ltd. to build its trading engine and content. The City Venture holds a majority stake in the company. HSBC, Intel & Carlyle are the other investors. On April 17, 2002 Share khan launched Speed Trade and Trade Tiger, are net-based executable application that emulates the broker terminals along with host of other information relevant to the Day Traders. This was for the first time that a net-based trading station of this caliber was offered to the traders. In the last six months Speed Trade has become a de facto standard for the Day Trading community over the net. Share khan’s ground network includes over 700+ Share shops in 130+ cities in India. The firm’s online trading and investment site - www.sharekhan.com - was launched on Feb 8, 2000. The site gives access to superior content and transaction facility to retail customers across the country. Known for its jargon-free, investor friendly language and high quality research, the site has a registered base of over 3 Lacks customers. The number of trading members currently stands at over 7 Lacks. While online trading currently accounts for just over 5 per cent of the daily trading in stocks in India, Share khan alone accounts for 27 per cent of the volumes traded online. The Corporate Finance section has a list of very prestigious clients and has many ‘firsts’ to its credit, in terms of the size of deal, sector tapped etc. The group has placed over US$ 5 billion in private equity deals. Some of the clients include BPL Cellular Holding, Gujarat Pipavav, Essar, Hutchison, Planetasia, and Shopper’s Stop. Finally, Share khan shifted hands and City venture get holds on it.

SERVICES PROVIDED BY SHAREKHAN

BENEFITS OF SHARE KHAN · Free Depository A/c · Instant Cash Transfer · Multiple Bank Option. · Secure Order by Voice Tool Dial-n-Trade. · Automated Portfolio to keep track of the value of your actual purchases. · 24x7 Voice Tool access to your trading account. · Personalized Price and Account Alerts delivered instantly to your Mobile Phone & E-mail address. · Live Chat facility with Relationship Manager on Yahoo Messenger

· Special Personal Inbox for order and trade confirmations. · On-line Customer Service via Web Chat. · Enjoy Automated Portfolio. · Buy or sell even single share · Anytime Ordering. Share khan offers the following products:-

CLASSIC ACCOUNT This is a User Friendly Product which allows the client to trade through website www.sharekhan.com and is suitable for the retail investors who is risk-averse and hence prefers to invest in stocks or who do not trade too frequently. Features · Online trading account for investing in Equity and Derivatives via www.sharekhan.com · Live Terminal and Single terminal for NSE Cash, NSE F&O & BSE. · Integration of On-line trading, Saving Bank and De-mat Account. · Instant cash transfer facility against purchase & sale of shares. · Competitive transaction charges. · Instant order and trade confirmation by E-mail. · Streaming Quotes (Cash & Derivatives). · Personalized market watch. · Single screen interface for Cash and derivatives and more. · Provision to enter price trigger and view the same online in market watch.

SPEEDTRADE Speed trade is an internet-based software application that enables you to buy and sell in an instant. It is ideal for active traders and jobbers who transact frequently during day’s session to capitalize on intra-day price movement. Features · Instant order Execution and Confirmation. · Single screen trading terminal for NSE Cash, NSE F&O & BSE. · Technical Studies. · Multiple Charting. · Real-time streaming quotes, tic-by-tic charts. · Market summary (Cost traded scrip, highest clue etc.) · Hot keys similar to broker’s terminal. · Alerts and reminders. · Back-up facility to place trades on Direct Phone lines. · Live market debts.

DIAL-N-TRADE Along with enabling access for trade online, the CLASSIC and SPEEDTRADE ACCOUNT also gives Dial-n-trade services. With this service, one can dial share khan’s dedicated phone lines 1-800-22-7500, 3970-7500. Beside this, Relationship Managers are always available on Office Phone and Mobile to resolve customer queries.

SHAREMOBILE Share khan had introduced Share mobile, A mobile based software where one can watch Stock Prices, Intra Day Charts, Research & Advice and Trading Calls live on the Mobile. (As per SEBI regulations, buying-selling shares through a mobile phone are not yet permitted.)

PREPAID ACCOUNT Customers pay Advance Brokerage on trading Account and enjoy uninterrupted trading in their Account. Beside this, great discount are also available (up to 50%) on brokerage. Prepaid Classic Account : - Rs. 2000 Prepaid Speed trade Account : - Rs. 6000

IPO ON-LINE Customers can apply to all the forthcoming IPOs online. This is quite hasslefree, paperless and time saving. Simply allocate fund to IPO Account, Apply for the IPO and Sit Back & Relax.

MUTUAL FUND ONLINE Investors can apply to Mutual Funds of Reliance, Franklin Templeton Investments, ICICI Prudential, SBI, Birla, HDFC, DSP Merrill Lynch, PRINCIPAL and TATA with Share khan.

ZERO BALANCE ICICI SAVING ACCOUNT Share khan had tied-up with ICICI bank for Zero Balance Account for Share khan’s Clients. Now their customers can have a Zero Balance Saving Account with ICICI Bank after your de-mat Account creation with Share khan.

MARKETING STRATEGIES OF THE COMPANY Tele calling:-The Company uses the Telecalling/ phone calling to reach the customers, which are interested. This is the most important technique to save time and giving demo of the company’s product

through making call in order to know the customer interest towards the product. This is the strategy with which one can motivate customer to go for the product and etc. LMS: It is leads management system which means leads are generated by the customer who wants to purchase the product of the

company. Company provides facility to the customer on online to fill the registration form through which the companies’ executives can provide more information to the customer. Yellow Pages: Yellow pages are used to gather data for making calls so that customer who did not fine time and are unaware of the product can know about the product. Customers are given freedom to ask question related to the products this is the technique used to increase the awareness of the company. Canopy’s: This is the most important technique used by share khan securities to market its product in different areas of the city, company put their canopies and customer who are willing to know about the product come forward and provide best of their knowledge. Besides this company executives ask customer to fill the questionnaire that tells the company about the levels of brand awareness. It also increases the product awareness because it is generally put at the crowdies places like near main Markets, cinemas, hotels, atm or etc where people come in good numbers. Direct Marketing: Share khan executive’s reaches to the does of the customer by fixing appointments with the interested customer, they describe the details of the product. Executive give demonstration of the products so that customer can understand better. Advertising: Advertising is the most important tool of increasing awareness of the product and this is the most widely used technique by the company to tell about the new features and new lunch by giving briefing of the product. Share khan use banners, distribution of pamphlets, and advertisement in newspapers, magazines. References: Share khan strategy is to satisfy the customer in terms of their need by providing them timely services and knowledge about the trade in equities, mutual funs by giving tips for investment advises through e-mails or toll free calls for this purpose customers are provided relationship manager who give investment advice and also make transaction on their behalf on demand. B satisfying customer executives ask their references that not only increase the awareness but also increase the good will of the company. Competitiveness: The Company is innovative and uses the latest technology to improve the product to fulfill the demands of the customers. Share khan makes it easy for the customer to make online transaction of shares. The company is competitive in terms of the product price and facilities it offers to the customer. Internet: Company provides detailed information about the products on Internet so that customer can know about the product easily andcompletely

BRANCHES ALL OVER INDIA

SWOT ANALYSIS Strengths: It is a pioneer in online trading with a turnover of Rs.400crores and more than 800 peoples working in the organization. SSKI the parent company of Share Khan has more than eight decades of trust and credibility in the Indian stock market. In the Asian Money Broker’s poll SSKI won the “India’s best broking house for 2004” award. Share Khan provides multi-channel access to all its customers through a strong online presence with www.sharekhan.com, 250 share shops in 130 cities and a call-center based Dial-n-Trade facility Share Khan has dedicated research teams for fundamental and technical research. Which constantly track the pulse of the market and provide timely investment advice free of cost to its clients which has a strike rate of 70-80% Weakness: Localized presence due to insufficient investments for country wide expansion.

Lack of awareness among customers because of non-aggressive promotional strategies (print media, newspapers, etc). Lesser emphasis on customer retention. Focuses more on HNIs than retail investors which results in meager market-share as compared to close competitors. Opportunities: With the booming capital market it can successfully launch new services and raise its client’s base. It can easily tap the retail investors with small saving through promotional channels like print media, electronic media, etc. As interest on fixed deposits with post office and banks are all time low, more and more small investors are entering into stock market. Abolition of long term capital gain tax on shares and reduction in short term capital gain is making stock market as hot destination for investment among small investors. Increasing usage of internet through broadband connectivity may boost a whole new breed of investors for trading in securities. Threats: Aggressive promotional strategies by close competitors may hamper Share Khan’s acceptance by new clients. Lack of sufficient branch-offices for speedy delivery of services. Other players are providing margin funds to investors on easy terms where as there is no such facility in share khan. More and more players are venturing into this domain which can further reduce the earnings of Share Khan.

ONLINE SHARE TRADING AND COMPETITORS Online share trading With a Share khan online trading account, you can buy and sell shares in an instant! Anytime you like and from anywhere you like. You can choose the online trading account that suits your trading habits and preferences - the Classic Account for most investors and Trade tiger for active day traders. Your Classic Account also comes with Dial-n-Trade completely free, which is an exclusive service for trading shares by using your telephone.

KEY FEATURES OF ONLINE TRADING Freedom from paperwork Instant credit and money transfer Trade from any net enabled PC After hour orders Online orders on the phone Timely advice and research reports Real-time Portfolio tracking Information and Price alerts When beginning your foray in investing in shares, we need a lot of things from the right tools and the right information at your disposal, to assistance when we need it and advice on investing. SHAREKHAN has been in this business for over 80 years now, and we can get a host of services and tools that are difficult to find in one place anywhere else. The Share khan First Step program, built specifically for new investors is testament to their commitment to being our guide throughout our investing lifecycle.

SHAREKHAN TRADE TIGER ACCOUNT These accounts for active traders who trade frequently during the day's trading session .Following are few popular features of Speed Trade account. Features of trade tiger account Real-time streaming quotes with Instant order Execution & Confirmation Hot keys similar to a traditional broker terminal Alerts and reminders Back-up facility to place trade on Direct Phone lines A single platform for multiple exchange BSE & NSE (Cash & F&O), MCX, NCDEX, Mutual Funds, IPOs Multiple Market Watch available on Single Screen Multiple Charts with Tick by Tick Intraday and End of Day Charting powered with various Studies Graph Studies include Average, Band- Bollinger, Know Sure Thing, MACD, RSI, etc

Apply studies such as Vertical, Horizontal, Trend, Retracement & Free lines User can save his own defined screen as well as graph template, that is, saving the layout for future use User-defined alert settings on an input Stock Price trigger Tools available to gauge market such as Tick Query, Ticker, Market Summary, Action Watch, Option Premium Calculator, Span Calculator Shortcut key for FAST access to order placements & reports Online fund transfer activated with 12 Banks

SAMPLE OF TRADE TIGER

PROCESS ON ACCOUNT OPENING

LEAD MANAGEMENT SYSTEM (LMS)/ REFERENCES CONTACT

TELEPHONE AND PERSONAL VISIT APPOINMENT DEMONSTRATION

AGREE

DISAGREE

No

DOCUMENTATION

FILLING THE FORM

SUBMISSION THE FORM

LOGIN OF THE FORM

SENDIND ACCOUNT OPNING KIT TO CUSTOMER

TRADING

COMPETITORS INFORMATION There are many competitors in the north region like KARVY, HDFC SECURITIES, INDIABULL, ICICI DIRECT, 5PAISE.COM, INDIA INFORLINE, AND KOTAK. But i have selected above mention5 companies to compares with share khan ltd. The selected five companies are follows1. 5paisa.com 2. Kodak Street 3. India Bull 4. ICICI Direct 5. HDFC Security

5PAISE.COM Company Background India info line was founded in 1995 and was positioned as a research firm in 2000 e-broking was started under the brand name of 5paisa.com. Apart from offering online trading in stock market the company offers mutual funds online. It also acts as a distributor of various financial services i.e. GOI securities, Company Fixed Deposits, Insurance, Limited ground network, present in 20 Cities. Online account types 1. Investor terminal Account opening: 500 De-mat 1st year 250 Initial margin: 2500(compulsory) Min margin retainable: 1000 Brokerage: Intraday- 0.10% + ST Delivery – 0.50% + ST 2. Trader Terminal A/c opening: 500 De-mat: 250 Initial Margin: 5000(compulsory) Min margin retainable: 1000 Brokerage Intraday- 0.10% + ST Delivery - 0.50% + ST Account access charges Monthly: Rs. 800 Downtime Recent past 5 paisa trader terminal is experiencing high frequency downtime between 3:00 to 3:30 pm due to server load

Manual accounting The 5 paisa accounting system is manual, online fund transfer through bank is not credited unstably. Limit is provided EOD for shares sold from DP, or call. Similarly limit released for shares sold under BTST is manual. Delay in receiving payout of clear funds from trading to bank account. Min account balance Min Rs.1000 is to be maintained in form of cash/securities to keep account active. This can be withdrawn only on closure of account.

KOTAK STREET Company Background Kotak Street is the retail arm of kotak securities. Kotak Securities limited is a joint venture between Kotak Mahindra Bank and Goldman Sachs. Online account type Twin advantage/ green signal: 2 DP’s, limit against shares. Free way: flat Rs 999 cover charge p.m. 0.03% per transaction. High traders: 6 times exposure cash and derivatives, auto sq off 2:55 Cash expressway: spot payment, additional 0.5% charges. For kotak fast lane/ keatlite/ keat desktop are trading interfaces keat desktop with advanced tools comes at a charge of Rs. 500 non refundable. Pricing of kotak A.O. 500, De-mat 22.5 per month, Initial margin: Rs 5000, Min margin retainable: Rs. 100 Brokerage slab wise: - Higher the volume, lower the brokerage. Even older customers (on 0.25% and 0.40%) have been moved to the slab wise structure. Slab structure of kotak Delivery Volume Brokerage P.M <1 lakh 0.65% 1 lakh – 5 lakhs 0.60% 5 lakhs – 10 lakhs 0.50% 10 lakhs – 20 lakhs 0.40% 20 lakhs – 60 lakhs 0.30% 60 lakhs – 2 cr. 0.25% >2 cr. 0.20% * DP charges extra * Brokerage is inclusive of taxes

Square Volume Off P.M <10 lakhs 10 lakhs – 25 lakhs 25 lakhs – 2 cr. 2 cr. – 5 cr. >5 cr.

Brokerage 0.10% each leg 0.08% each leg 0.06% each leg 0.05% each leg 0.04% each leg

INDIABULLS

Company Background India Bulls has retail financial Services Company present in 70 locations Covering 62 cities. It offers a full range of financial services and Products ranging from Equities to Insurance. 450 + Relationship Managers who act as personal financial advisors Online account type Signature account: Plain vanilla account with focus on equity analysis. The equity analysis is a paid service even for account holders. Power India bulls: Account with sophisticated trading tools, low commissions and priority access to R.M. Pricing of India bulls accounts: Signature account: Account opening: 250/= De-mat Rs. 200 if POA is signed, No AMC for this DP Initial Margin Nil Brokerage: negotiable Power India bulls: Account opening: 750/= De-mat Rs. 200 if POA is signed, No AMC for this DP Initial Margin Nil Brokerage: negotiable Paid Research SCHEME WEB BASED 1 MONTH 500 WEB BASED 1 YEAR 6000 PRINT REPORT 1 MONTH 750 PRINT REPORT 1 YEAR 9000

FACILITY VIEW AND PRINT ON WEBSITE VIEW AND PRINT ON WEBSITE VIEW AND PRINT ON WEBSITES + 10 REPORTS DELIVERED VIEW AND PRINT ON WEBSITE + 10 REPORTS DELIVERED

Deal clinchers V/S India bulls. POA for Clients DMAT All shares held by client trading with IB are moved to IB Pool Account and the same is shown as a reflection in client DP account. Charges are levied to move shares from IB pool Account to client DP account Paid research services Access to a research even for and IB trading account hold is charges a min. of Rs 500 a month.

Margin funding hoax The interest on funding starts on leveraged delivery trades from T + 1 day itself @ 21 % p.a., on a daily basis. The role of relationship manager Each RM is looked upon as revenue generator and he gets a % on business generator from client. This can lead to over leveraged (interest) & high frequency (brokerage) trading, which may no be in the best interest of the client.

ICICI DIRECT Company Background ICICI Web Trade Limited (IWTL) maintains ICICIdirect.com. IWTL is an Affiliate of ICICI Bank Limited and the Website is owned by ICICI Bank Limited. Account opening: Rs. 750/= Schemes: For short periods Rs 750 is refundable against brokerage generated in a qtr. These schemes are introduced 3-4 times a year. De-mat nil 1st year charges included in account opening plus a facility open additional 4 DP’s Without 1st year AMC. Initial margin nil Brokerage: Delivery vol. per qtr. <10 lakhs 10 lakhs – 25 lakhs 25 lakhs – 50 lakhs 50 lakhs – 1 cr. 1 cr. – 2 cr. 2 cr. – 5 cr.

Brokerage 0.85% 0.75% 0.60% 0.40% 0.35% 0.30%

Poor online interface Slow website interface with no real time quotes crates dissatisfaction among high frequency traders. Margin trading restriction The margin trading system is available 1 up to 2:45 p.m. , with outstanding net positions under margin segment automatically squared off at any time between 2:45 – 3:30 pm. Thus no control of squared off price. Morning trades issue Being one of the websites with larger no. of after hour orders which are pushed 1st thing in the morning, creates a choking of orders to the exchange, causes delay of confirmation for new order placed during the early morning trades Restriction of BTST Sale of shares purchased is restricted to T + 1 day and is not permitted on T + 2 day.

Deal clinchers V/S ICICI direct No leverages for delivery trades Delivery is restricted to the total money allotted into the trading account. No flexibility on leverage on intraday trades. The leverage of 4 times is available for intraday trades. Restriction of bank account The choice of bank is restricted to ICICI bank. Higher brokerage rates with slabs The delivery brokerage is pegged at 0.85% and trading at 0.15% each side, this makes is very unviable for customers dealing in large volumes. Although progressively the delivery and trading brokerage reduce as volume go up.

HDFC SECURITIES

Company Background The HDFC BANK, HDFC and Chase Capital Partners and their associates promote HDFC SECURITIES LTD. Pioneers in setting up Dial-a-share services with the largest team of Tele-brokers. De-mat account with HDFC securities:It is conversion of physical shares into electronic form. Dematerialization charges Rs. 3 per share certificate Rs. 35 per request. Folio charges are Rs.150 per annum. Buying and selling transaction through brokers –Charges are 0.05% of transaction value Off market transactions charges - 0.04% of transaction value Online account type HDFC online trading A/C:- plain vanilla account with focus on 3 in 1 advantages. HDFC securities pricing of HDFC account Account opening: 750 De-mat: 1st year charges included in account opening Initial margin: Rs. 5000 for non HDFC bank customers AMC: first year nil and Rs. 450 per year from 2nd year onwards. Brokerages Trading 0.15% Delivery 0.50%

Deal clinchers V/S HDFC securities Poor online interface A part from having no product to cater to day – traders the HDFC securities online website is plagued with downtime. The same is currently being revamped. Lack of focus on broking The core business of HDFC is housing finance. Broking as a business is a small part of the portfolio of financial services and hence the commitment to resources is limited. No leverage No leverage is available to clients even for intraday trades, effectively all clients are on cash And carry system. No flexibility in commercial terms The delivery brokerage is pegged at 0.5% and trading and 0.15% side, this makes it unviable for customers dealing in large volume.

CHAPTER-2 RESEARCH METHODOLOGY Research Methodology: Research design is a basic frame work, which provides guidelines for the rest of research process. It is a map or blue print according to which the research is to be conducted. Objective of Research Each research study has its own specific purpose. It is like to discover to Question through the application of scientific procedure. But the main aim of our research to find out the truth that is hidden and which has not been discovered as yet. Our research study has two objectives. Primary objective: -How Share khan Ltd is best services providers as a stock broker in the north region.

Secondary objective: 1. To know about the awareness towards stock brokers and share market. 2. To study about the competitive position of Share khan Ltd in Competitive Market. 3. To study about the effectiveness & efficiency of Share khan Ltd in relation to its customer 4. To study about whether people are satisfied with Share khan Services & Management System or not 5. To study about the difficulties faced by persons while Trading in Share khan. 6. To study about the need of improvement in existing Trading system. Research Design Research design is the conceptual structure within which the research would take place. The presentation of such a design facilitates research to be as efficient as possible yielding maximum information. 1. Deciding the Objective of the Study. 2. Questionnaire. 3. Sample Selection. 4. Feedback Collection. 5. Analysis.

Types of research I used a descriptive type of research. It is one which includes surveys and fact – finding, Enquiries of different kinds. The major purpose of such research is description of the state of affairs, as it exists at present.

METHODS OF DATA COLLECTION While deciding about the method of data collection to be used for the study the researcher should keep to types of data. 1. Primary Data 2. Secondary Data. 1. Primary data collection The data collected by the researcher from the field. Primary data can be collected by Experiment Survey Personal Interviews Questionnaire Tele-calling

2. Secondary sources of data It is the data which has already been collected by some one or an organization for some other purpose or research study. The data for my study has been collected from various sources. Books Journals Internets News papers Pamphlets Broacher Magazines We use in our research primary data, as well as secondary data. Primary means collected a fresh, and the first time data and secondary means which are already available like annual report, magazines etc.

RESEARCH METHODOLOGY ADOPTED • Type of research: - Qualitative research • Sampling Plan: Population: -Element- Consumers -Sampling unit- Each element acts as an independent unit. • Sampling Type: - Area sampling. As research was limited on the basis of geographical location I.e... Delhi • Sample Size: - 100 Respondents • Data Source: - Primary Data collected by conducting face to face Personal Interviews. • Research instruments: Questionnaire was used to extract the information from the Respondents.

CHAPTER-3 DATA INTERPETION AND ANALYSIS 1. Are you aware about share market and online trading? Yes No AWARE OF ONLINE SHARE %OF RESPONDENTS TRADING Yes 93.33% No 6.67% AWARNESS ABOUT SHARE MARKET AND ONLINE TRADING

YES 93.33

NO 6.67

Interpretation: - With the increase in cyber education the awareness towards online share trading has increased by leaps and bounds. The awareness is expected to increase further with the increase in internet education 2. In which of these financial instruments do you invest? FINANCIAL INSTRUMENTS Mutual fund Bonds Online trading Derivative Insurance Others

% PERCENTAGE OF INVESTMENT 33.33% 6.67% 20% 10% 3.36% 26.67%

Interpretation: - 73.33% people are interested in, returns, liquidity and tax benefits. And remaining 26.67% are interested in capitals, risk covering. 4. Do you have a De mat and trading account? Yes HAVING A DE MAT AND TRADING A/C AND TRADING A/C

NO PERCENTAGE OF DE MAT

Yes No

76.67% 23.33%

PERRCENTAGE OF HAVING DEMAT AND TRADING A/C Interpretations: - 76.67% people having de-mat and trading a/c, remaining 23.33% have no De-mat and trading a/c. This shows that maximum people are interested in share trading. 5. How did you come to know about the broking firm? Newspaper Journal TV Advertisement Internet Friend Other SOURCE OF NEWS OF BROKING FIRM

PERCENTAGE OF SOURCE

Newspaper Journal TV Advertisement Internet Friend Other

SOURGE OF NEWS ABOUT BROKING FIRM

20 10 10 23.33 26.67 10

Interpretations:- 26.67% people know about broking firm through friend recommendation, 23.33% through internet, 20% through newspaper and rest through other source. 6. Which company provides you large no. of product and services? COMPANY NAME Share khan India bulls ICICI Direct HDFC Security KOTACK Street 5paisa.com Other PERCENTAGE OF RESPONDENT

PERCENTAGE OF RESPONDENT 53.33% 13.33% 6.67% 13.33% 3.33% 0% 10%

Interpretations:- 53.33% have respondent of share khan ltd ,13.33% have respondent of India bulls, 6.67% respondent of ICICI direct, 13.33% respondent of HDFC security,3.33% respondent of KOTACK street, 0% respondent of 5paisa.com, and 10% respondent of Other. 7. How important do you think these factors influence in choosing a broking firm? Low brokerage :-( Not important) (Important) ( Extremely important) Better customer service:- ( Not important) (Important ) (Extremely important) Brand loyalty:- ( Not important) ( Important) (Extremely important) (30) Good trading tips:- (Not important) (Important) (Extremely important) Margin money:- ( Not important) (Important) (Extremely important) Timely research report:- (Not important) ( Important) (Extremely important) Friend recommendations:- (Not important) ( Important) ( Extremely important) Interpretations:- 70% people thinks brandloyaty and friend recommendations is extremely important. 50% people think low brokerage and timely research report is extremely important. 47% people think better customer service, good trading tips and margin money is extremely important.

8. Best broking firm according to you?

HIERARCHY LEVEL OF BROKING COMPANY

% OF TRUSTING

Share khan India Bulls KOTAK street ICICI Security HDFC Direct Other

43.33% 16.67% 3.33% 6.67% 10% 2

9. Are you interested to invest through SHAREKHAN LTD in future?

Yes FEATURE % TO INVEST INTERESTED THROUGH SHARE KHAN

No % OF

Yes No

43.33% 56.67%

FUTURE OF INVESTMENT THROUGH SHARE KHAN

YES

NO

Interpretations: - 43.33% respondent of share khan, 56.67% respondent of other broking house.

10. Most important things you take into your mind while making investments? Risk Return Both FACTOR Risk Returns Both

%AGE 3.33% 40% 56.67%

FACTOR OF INVESTMENT

RISK

RETURNS

BOTH

Interpretation: 96.67% people are considered the both factors risk as well as returns but, only 43.33% considered the risk or returns factor.

***

CHAPTER-4 OBSERVATION AND FINDINGS To study the sales and distribution management and improve the Customer Acquisition Process by analyzing the consumer behavior, response and mindset towards the product and services the company offers. 1. Preference of Investment: Consumers want to invest 75% in Mutual funds, 16% in Bonds, 7% in online trading and 2% in Derivatives. 2. Awareness on Online Share Trading 72% consumers are aware of online share trading and 28% consumers are not aware of online share trading. 3. Awareness of Share khan ltd.: 70% consumers are known about Share khan ltd. and 30% consumers are not known about Share khan ltd. 4. Company have De-mat A/C In Share khan Ltd 38% respondents have De-mat & trading account because of better services and no annual maintenance and other charges. 5. Company provide large no. of product and services 22% respondent of Share khan ltd., 18% have respondent of HDFC, Respondent of ICICI

FINDINGS According to the survey most of the customers of “Share khan Ltd” says that it is pocket friendly. Coming to faith 70% say Share khan Ltd is better than others stock brokers due to Customer’s satisfaction . Main purposes of investments are returns & liquidity. Investors take risk as well as returns into their mind while making the investment. Businessmen are more interested in the stock market than the others.

Commodity market is less preferred by the investors. People want to invest their money in the security market but they haven’t the proper knowledge. People are not aware of hedging in stock market. People pay more emphasis on brokerage than service provided by brokerage houses.

SUGGESTION Commitment should be equalized for every person. Provide the facility of free demonstrations for all. Improvement in the opening of De-mat & contract notice procedure is required. There should be a limited number of clients under the relationship manger. So that he handle new as well as old customer properly. Some promotional activities are required for the awareness of the customer. People at young age should be encouraged to invest in stock market. Seminars should be held for providing information to prospective and present customers.

CONCLUSION With the increases in cyber education awareness toward share market and share trading has leaps and bounds; the awareness is expected to increases future with the increase in internet education. On the basis of the study it is found that share khan ltd is better services provider than the other share brokers because of their study and research and personalized advice on what stocks to buy and sell. Share khan ltd provides TRADE TIGER as well as relationship manager the facility for encouragement and protect the interest of the investors. It also provides the information through the mail and mobile alerts that what IPOs are coming in the market and it also provides its research on the future prospect of the IPOs. Share khan is looked upon revenue generated and he gets a 100 % on business generated from client. This can lead to over leverage and high frequency trading which may in best interest of the customer. Study also concludes that people are not much aware of commodity market and while it’s going to be biggest market in India The company should also organize seminars and similar activities to enhance the knowledge of prospective, and existing customers, so that the feel more comfortable while investing in the stock market

BIBILIOGRAPHY

o Websites www.bseindia.com www.google.com www.nseindia.com www.moneycontrol.com www.sharekhan.com www.icicidirect.com www.5paisa.com www.indiabulls.com

o Newspaper ECONOMIC TIMES TIMES OF INDIA

ANNEXURE Please tick your response whenever appropriate: NAME:PROFESSION:ADDRESS:CONTACT NO:1.Are you aware about share market and online trading? Yes

No

2.In which of these financial instruments do you invest? Mutual fund Bonds Online trading Derivative Insurance Other 3.What is the basic purpose of your investment? Liquidity Returns Capitals Tax benefits Risk covering 4. Do you have a D-mat and Trading account? Yes

NO

5.How did you come to know about the broking firm? Newspaper Journal TV Advertisement Internet Friend Other 6.Which company provides you large no. of product and services? Share khan India bulls ICICI Direct

HDFC Security KOTAK Street 5Paisa.com Other 7. How important do you think these factors influence in choosing a broking firm? Low brokerage :-( Not important) (Important) ( Extremely important) Better customer service:- ( Not important) (Important ) (Extremely important) Brand loyalty:- ( Not important) ( Important) (Extremely important) Good trading tips:- (Not important) (Important) (Extremely important) Margin money:- ( Not important) (Important) (Extremely important) Timely research report:- (Not important) ( Important) (Extremely important) Friend recommendations:- (Not important) ( Important) ( Extremely important) 8.Best company according to you? Share khan India bulls KOTAK Street ICICI Direct HDFC Security Other 9. Are you interested to invest through SHAREKHAN LTD in feature? Yes 10. Most important things you take into your mind while making investments? Risk Return Both

No